The consideration was funded with cash on hand and WES’s recent US$600 million investment grade senior notes issuance. The Meritage acquisition transforms WES’s existing asset footprint in the Powder River Basin with expanded gathering and processing facilities, a diversified customer base, and long-term contracts supported by minimum volume commitments and acreage dedications.
As previously announced, for the 3Q23, management intends to recommend a Base Distribution increase of US$0.0125, or US$0.05 annualised, resulting in a total annualised distribution of US$2.30 per common unit.
About Western Midstream
Western Midstream Partners, LP is a Delaware master limited partnership formed to acquire, own, develop, and operate midstream assets. With midstream assets located in the Rocky Mountains, North-central Pennsylvania, Texas, and New Mexico, WES is engaged in the business of gathering, compressing, treating, processing, and transporting natural gas; gathering, stabilising, and transporting condensate, NGLs, and crude oil; and gathering and disposing of produced water for its customers. In addition, in its capacity as a processor of natural gas, WES also buys and sells natural gas, NGLs, and condensate on behalf of itself and as an agent for its customers under certain of its contracts.
